Reviewed Forex Trading

USD Dollar (USD) The US Dollar strengthened versus most major currencies on a statement from the Fed Chairman, Bernanke, who said earlier at the FOMC that there is no need for a QE3 at the moment. The TIC Long-Term Purchases came out at 17.9B worse than the expected 62.3B and Industrial Production (MoM) came out 0.0% worse than expected at 0.7%. The stock market closed negative as the Dow Jones fell by 0.76% and the NASDAQ fell by 0.55%. Crude oil rose by 1.10% after crude oil inventories came out less than expected on false news about Iran halting the supply of crude oil to six European countries. Later, however, the Iranian government published a notice denying this was true. At the end of the day crude oil closed at $101.80 a barrel. Gold (XAU) rose by 0.4%, or $10.40, after 4 days of decline and closed at $1728.1 an ounce. Today, the Housing Starts are expected to come out at 0.68M vs. 0.66M previously and initial jobless claims are expected to come out at 3550K vs. 3515k previously. The Fed Chairman, Bernanke, will speak.

Euro (EUR) – The Euro fell versus the Greenback as Greek Finance Minister, Evangelos Venizelos, accused certain Euro area nations of wanting Greece to leave the union.  The German Prelim GDP came out at -0.20% better than the expected -0.30%. The EUR/USD’s momentum is negative below the 1.3150 level and as long as the pair is trading below this level, the Euro may continue to weaken. Overall, the EUR/USD traded with a low of 1.3006 and with a high of 1.3190. Today, the ECB monthly report is expected.

EUR/USD – Last: 1.3020

British Pound (GBP) – The Pound closed unchanged versus the US Dollar after the Claimant Count Change came out at 6.9K vs. 3.2K previously and the Unemployment Rate remained unchanged at 8.4%. The GBP\USD’s momentum remains bearish below the 1.5770 level. The next support level on the 4 hour chart is located at 1.5650 and breaking this level will probably cause the Pound to decrease toward the 1.5600 level. Overall, the GBP/USD traded with a low of 1.5662 and with a high of 1.5735. Today no major economic data is expected to be released.

GBP/USD – Last: 1.5672

Japanese Yen (JPY) – The Yen closed unchanged against the Dollar after it fell to a three-month low versus the Dollar after the Central Bank increased its asset-purchase fund to 30 trillion Yen, expanding economic stimulus measures for the first time since October. The USD/JPY’s momentum is bullish as long as the pair is trading above the 77.80 level. Overall, the USD/JPY traded with a low of 77.17 and with a high of 78.65 No economic data is expected to be released today.

USD/JPY-Last: 78.40

Canadian dollar (CAD) – The Canadian dollar slipped from its highest level in almost a week versus its US counterpart on speculation that an aid package for Greece may be delayed until after it holds elections this year, damping appetite for riskier assets. As long as the pair is trading below the 1.0040 level, the US Dollar’s momentum remains negative. Overall, the USD/CAD traded with a low of 0.9937 and with a high of 1.0028. Today, Manufacturing Sales (MoM) are expected to drop from 2% to 0.50%

USD/CAD – Last: 1.0019

Foreign exchange market is a challenging world for the traders of the market. Trading forex currency is not an easy task for the traders. To trade forex successfully, they have to boo very much careful and cautious. They should be alert and careful to analyze the market problems and the fluctuations of the market where as they should be cautious for the forex risks, the scams, the traps and the losses which effects the trading very badly.

It’s a huge financial market where lots of traders trying their luck every time. Some of them are talented and they have good knowledge about forex currency trading but some of them are trading without having strong knowledge of forex and without any planning and strategies.

The first kind of the persons are those who gets success in trading currency because their investment is always according to the demand and the need of the market but the second kind of the persons are those who face the loss because of their inexperienced performance and trading mistakes.

They made mistakes because their knowledge if trading forex is not good. Thus they have to perform well and for this, they have to learn forex trading. Forex learning is very much essential for those who are the starters and who don’t have enough knowledge of trading forex currency. Every one can make money in this market if they have goo knowledge and trading skill, only having knowledge is not enough but they have to trade with good understanding and skill.